TCW #014 | 3 Questions to Ask Before Sharing Your Compensation Numbers
One surprising reason that candidates fail HR and recruiter screens: sharing comp numbers (when asked). I'll explain why this can cause issues, and how to answer without disqualifying yourself.
One question that is guaranteed to come up in an initial job screen: “What are your compensation expectations?”
A simple question with a multitude of regrettable answers.
Say a number too low, and they may wonder if you’re senior enough for the role. You can kiss the top of the compensation band goodbye before you even got started.
Say a number too high, and you may get disqualified before ever interviewing.
When candidates fail screening interviews, there are 4 common root causes:
Their verbal career story is lacking (the way they answer “Tell me About Yourself” or “Why do you want this job?”)
They gave comp numbers (and they are way off)
Their answers to screening questions aren’t satisfactory
They threw some red flags (unintentionally)
In today’s issue, I’ll teach you how to respond to the question about compensation expectations while positioning yourself for a strong interview outcome and compensation negotiation.
Let’s dive in.
Why screeners ask candidates about compensation expectations
Screeners have legitimate reasons to ask for your compensation expectations.
Trust me, they aren’t trying to trip you up or disqualify you.
They aren’t plotting to lowball your offer later using your target comp against you.
In truth, they are trying to avoid wasting your time (and theirs).
If your compensation requirements diverge from what the company can offer, it’s risky for them to move forward in the process.
The whole process could end up being a waste of their time.
Why? If their comp band isn’t high enough, it’s unlikely that you will take the role, even if they extend the offer.
If your comp expectations are low, you might not be qualified enough for the role and may fail your interviews (a waste of time).
Why should you care?
It’s a waste of your time, too.
Getting all the way to the offer stage requires at least 5 hours of interview investment (on your part and theirs), plus a take-home assignment can chew through another 10 hours of your time.
TLDR: if comp expectations aren’t aligned from the start, it’s expensive for you and for them. That’s why they ask.
…But you don’t have to share Your Number
Most candidates think the screener needs to hear a specific number, or a range of numbers.
This is not true.
They really just need to know that your compensation requirements are in the target range for the role.
One way to confirm that you’re in the target range is to give them a number. Your Number.
But this is risky for you.
You don’t even know the elements of compensation at this company (at this point).
How could a single number (or a range of numbers) possibly answer the questions you have about comp, when you don’t even know how they approach compensation?
Consider yourself warned. There are a lot of risks to providing numbers before getting more information. Once you provide a target number, or even a range of numbers, you’ve usually set the ceiling for what you’re likely to get paid. It’s a hard truth, but you set an anchor point, and brains like anchor points. They don’t move away from them easily.
Instead, ask more questions
Q1: Ask about the compensation band for the role
In states like California, employers are required to provide the salary band for the role you’re interviewing for (per CA Assembly Bill 168). This is only required given the following two conditions:
(1) that you request it
(2) that you have completed an interview (screeners count)
How to ask? Be polite but direct.
“I’m interested in meeting the team and learning more about the role and the company. Before we discuss specific numbers, can you provide me with the salary range for this role?”
Q2: Ask about their total compensation components
Some companies have equity. Some don’t.
Some have bonuses. Some don’t.
Some do signing bonuses. Some don’t.
Asking about the components of total compensation will help you understand all of the different ways you will be paid.
It would be a shame to say no to a role based on the salary alone, if there’s a hefty bonus tied to the role that you didn’t even ask about.
How to ask? Simple.